PALMOILMAGAZINE, JAKARTA – The price of crude palm oil (CPO) at PT Kharisma Pemasaran Bersama Nusantara (KPBN) saw a decline on Thursday (21/11/2024), with the highest bid at IDR 14,830/kg, marking a 2.91% drop or a decrease of IDR 445/kg compared to Wednesday’s price of IDR 15,275/kg.
According to Palmoilmagazine.com report from KPBN Inacom, the Dumai Franco price opened at IDR 15,000/kg, with a Withdraw (WD) highest bid of IDR 14,830/kg. At Talang Duku, the price opened at IDR 14,800/kg with a WD bid of IDR 14,630/kg, while Sei Tapung’s price was set at IDR 14,761/kg.
Meanwhile, on the Malaysian bourse, palm oil futures plunged due to concerns over U.S. tariff policies on China and weak demand, leading to a sell-off in the vegetable oil market. The benchmark February 2025 FCPOc3 contract on the Bursa Malaysia Derivatives Exchange fell by RM 140/tonne (2.91%) to RM 4,675 (US$ 1,047.50) per metric tonne during the midday break. The previous session also saw a 2.21% decline.
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Paramalingam Supramanian, Director at Selangor-based Pelindung Bestari Brokerage, attributed the sell-off to speculation about a potential 40% tariff on China by the Trump administration. This policy shift could prompt China to pivot its soybean purchases from the U.S. to Brazil and Argentina, further unsettling the edible oil market.
The price of the most active soybean oil contract in Dalian, DBYcv1 fell 1.24%, while the price of its palm oil contract DCPcv1 fell 3.3%. The price of soybean oil on the Chicago Board of Trade BOcv1 fell 0.14%.
The following are the details of the KPBN Tender results (IDR./Kg), Excld VAT for the Thursday (21/11/2024) period:
CPO:
- Franco Dumai IDR 15,000 (WD). Highest bid IDR. 14,830-IBP
- Talang Duku IDR 14,800 (WD). Highest bid IDR. 14,630-MM
- Sei Tapung IDR 14,761-SDS
CPKO:
- Lampung IDR 24,974 (WD). Highest bid IDR. 24,050-IKIN
- Palembang IDR 24,831 (WD). Highest bid IDR. 24,450-IKIN. (P2)
